Is Mednax Inc. (MD) Going to Burn These Hedge Funds?

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As aggregate interest increased, key hedge funds were breaking ground themselves. Polar Capital, managed by Brian Ashford-Russell and Tim Woolley, assembled the largest position in Mednax Inc. (NYSE:MD). Polar Capital had $15.4 million invested in the company at the end of the quarter. Dmitry Balyasny’s Balyasny Asset Management also made a $11.6 million investment in the stock during the quarter. The other funds with brand new MD positions are Kris Jenner, Gordon Bussard, Graham McPhail’s Rock Springs Capital Management, Ben Levine, Andrew Manuel and Stefan Renold’s LMR Partners, and Michael Platt and William Reeves’ BlueCrest Capital Mgmt..

Let’s now take a look at hedge fund activity in other stocks similar to Mednax Inc. (NYSE:MD). We will take a look at Arthur J. Gallagher & Co. (NYSE:AJG), Synopsys, Inc. (NASDAQ:SNPS), Mobil’nye Telesistemy PAO (ADR) (NYSE:MBT), and China Southern Airlines Co Ltd (ADR) (NYSE:ZNH). All of these stocks’ market caps resemble MD’s market cap.

Ticker No of HFs with positions Total Value of HF Positions (x1000) Change in HF Position
AJG 20 201257 2
SNPS 21 279842 2
MBT 13 112232 1
ZNH 4 22919 0

As you can see these stocks had an average of 15 hedge funds with bullish positions and the average amount invested in these stocks was $154 million, compared to $136 million in MD’s case. Synopsys, Inc. (NASDAQ:SNPS) is the most popular stock in this table with a total of 21 funds reporting long positions as of the end of September, while China Southern Airlines Co Ltd (ADR) (NYSE:ZNH) is the least popular one with only 4 bullish hedge fund positions. Compared to these stocks Mednax Inc. (NYSE:MD) is more popular among hedge funds. Considering that hedge funds are fond of this stock in relation to its market cap peers, it may be a good idea to analyze it in detail and potentially include it in your portfolio.

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